Reasoned appellate orders under section 250(6) require effective hearing; non-speaking dismissal for non-prosecution warrants remand.

An appellate order dismissing an assessee's appeal for non-prosecution, without dealing with adjournment requests or giving an effective opportunity of hearing, was held inconsistent with section 250(6) of the Income-tax Act, 1961. The provision requires a written, reasoned order stating the points for determination, the decision on each point, and the reasons for that decision. Because the first appellate authority did not pass a speaking order or properly hear the assessee, the order was set aside and the matter was remanded for fresh adjudication after due hearing.

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Issues: Whether the ex parte appellate order dismissing the assessee's appeal for non-prosecution, without granting adequate opportunity of hearing or dealing with adjournment requests, and without complying with section 250(6) of the Income-tax Act, 1961, could be sustained.

Analysis: The appeal orders were passed after a long gap between hearings, and the assessee's adjournment requests were not considered. The appellate authority was required to dispose of the appeal in writing by stating the points for determination, the decision thereon, and the reasons for the decision. An order dismissing the appeal for non-prosecution without such compliance and without proper hearing was not in accordance with law.

Conclusion: The impugned appellate order was set aside and the matter was remanded to the Commissioner (Appeals) for fresh adjudication after giving the assessee an opportunity of hearing.

Final Conclusion: The assessee obtained a remand for de novo consideration before the first appellate authority, and the appeal was allowed for statistical purposes.

Ratio Decidendi: An appellate order under section 250(6) of the Income-tax Act, 1961 must be a reasoned, speaking order passed after affording effective opportunity of hearing; failure to do so warrants remand.

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